Moneyonmobile, Inc · OTC:MOMT
Moneyonmobile — Calpian — Investor Presentation (September 2013)
23 slides from Moneyonmobile's investor presentation, Sep 11, 2013
Slide 1: Steady Domestic Cashflow, Explosive International Growth
STEADY DOMESTIC CASHFLOW EXPLOSIVE INTERNATIONAL GROWTH
Slide 2: Disclaimer and Required Statement About Forecasts
THIS DOCUMENT DOES NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY ANY SECURITIES. ANY OFFER OF SECURITIES OF THE COMPANY SHALL BE MADE ONLY TO QUALIFIED INVESTORS IN ACCORDANCE WITH APPLICABLE SECURITIES LAWS. THE SECURITIES LAWS PROHIBIT ANY PERSON WHO HAS MATERIAL NON-PUBLI
Slide 3: Key Facts
Trading Symbol OTC BB: CLPI Corporate Headquarters Dallas, TX Stock Price (52-Week Range) $1.80 ($3.25 - $1.01) Shares Outstanding 26.4 M Daily Volume (90-day average) 3,189 Market Capitalization $47.5M Debt $18.6M Cash & Equivalents $1.543M Revenues (TTM) $10.1M Full-time Employees 35 Fiscal Year E
Slide 4: Calpian - Investment Thesis
Two High Growth Businesses Increasing Shareholder Value CALPIAN - INVESTMENT THESIS • Experienced leadership - 40%+ ownership • Steady positive cash flow in US - Growing • Explosive growth in India through Money On Mobile - 300% growth
Slide 5: Company Overview
Calpian Commerce - U.S. cash flow business Money on Mobile© Mobile Payments in India Explosive Growth COMPANY OVERVIEW Provides credit and debit card processing services to small retail merchants in the U.S. Growth through acquiring portfolios from Independent Services Organizations (ISO’s). India b
Slide 6: Management Team
MANAGEMENT TEAM Average 20 years in payments Harold Montgomery - CEO Stanford MBA 1985 Started in payments in 1987 Shashank Joshi - President MoM Maharastra Institute of Technology 10 years in payments Craig Jessen - President SMU MBA 1984 Started in payments in 1991 David Pilotte - CFO University o
Slide 7: Steady Domestic Cashflow
• Provides credit and debit card processing services to small retail merchants in the U.S. • Growth through acquiring Independent Sales/Services Organizations (ISO’s) STEADY DOMESTIC CASHFLOW
Slide 8: Calpian, Inc.
CALPIAN, INC. • Provides card processing to 16,000 small merchants and B2B clients • Operates its own processing gateway - SecurePay TM • Operates sales offices in upstate New York, Atlanta • Top notch IT support team provides technical integration services for merchants • Growth organically and thr
Slide 9: U.S. Core Business: Steady, Growing Cash Flows
*Audited 2011* 2012* 2013 2014 2015 2016 Revenue 2.8 3.4 23.3 39.2 45.8 51.8 EBITDA 0.5 (0.4) 2.8 6.5 10.4 15.2 U.S. CORE BUSINESS: STEADY, GROWING CASH FLOWS • Acquires cash flows in the US • Payment processing contracts • Pay 2x-3x annual CF • Cash Flow Positive Now • Goal to add ~$5 million in EB
Slide 10: Explosive Growth
• Money on Mobile is a way for consumers to pay using the cell phone • Uses a virtual currency available at retail stores at retail stores • Replaces the checkbook or debit card used in the U.S. • Calpian invested in Money on Mobile March 2012 EXPLOSIVE GROWTH
Slide 11: India Background
INDIA BACKGROUND • Population 1.2 Billion, growing to 1.6 Billion by 2030 • Middle Class = ~300 million people ($500 income/month) • Per Capita GDP = $300 income/month • Economy growing 6+% per year Source: CIA.gov World Fact Book
Slide 12: Challenges and Opportunities in India
The window for a fast, easy, reliable payment system is wide open. CHALLENGES AND OPPORTUNITIES IN INDIA Addressable Market is 750+MILLION mobile phones 1 BILLION SIM cards All Cash Economy Lack of Bank Accounts (only 200M of 1.2B people) No Payment Mechanisms (credit, debit or check) Weak Transport
Slide 13: What Can You Buy?
Allows consumers to use their mobile phone to transact: Total Combined Market ~$200 Billion + WHAT CAN YOU BUY? • Fast, easy, reliable, cheap • HUGE value proposition vs. current methods Pre-paid Cell Phone Utility Bill Payment Shopping Pre-paid Television Ticketing
Slide 14: How Does MoM Work?
157,860 Retailers Transaction Margin = 0.5% Grows to 1% Retailers are commission sales people 6 5 HOW DOES MoM WORK? 67.4 Million Consumers
Slide 15: Slide 15
Slide 16: MoM - Retailers
Retailers are commission sales people Extrapolation of current growth in yellow MoM- Retailers
Slide 17: MoM - Cumulative Unique Users on System
Extrapolation of current growth in yellow MoM - Cumulative Unique Users on System
Slide 18: MoM - Monthly Volume Processed
MoM - Monthly Volume Processed
Slide 19: Volume Growth
Product Average Ticket Monthly Frequency Estimated Average Monthly Spend Shopping $1.00 10x $10.00 Travel Ticketing $0.30-$15.00 1x-20x $10.00 Total Spend/Month $34.00 What will 35 million consumers do with Money on Mobile? All numbers are estimates We do these now Volume Growth
Slide 20: First Mover Advantage to Money on Mobile
First Mover Advantage to Money on Mobile Store Count User Count Notes Money on Mobile (July ’13) 157, 860 67 million Growing 6%/month on month Beam Money (May ‘13) 50,000 18 million Searching for capital AirTel Money 110,000 Unknown Not Interoperable Vodafone 8,000 Unknown Beginning phase - not inte
Slide 21: Compare to M-PESA in Kenya
India is 30x Kenya in size M-Pesa Metrics 95% of Adults Transaction Volume 42% of GDP Estimated Net Operating Revenue (1.0%) Kenya 21 Million $32.4 Billion $320 million/year M-PESA COMPARE TO M-PESA IN KENYA • First Mobile Money System • Started April 2007 • Domestic Remittance is majority of volume
Slide 22: Summary
SUMMARY • Management team has significant experience in payment industry • Focused on building shareholder value • Calpian is well positioned to aggregate steady recurring monthly cash flows in the US • Money on Mobile growing fast in India
Slide 23: Steady Cashflow, Explosive Growth
STEADY CASHFLOW EXPLOSIVE GROWTH